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Asian shares rise on US rate cut hopes

Published: July 11, 2019 10:50:06 | Updated: July 15, 2019 12:20:38


File Photo (Collected)

Asian shares rose Thursday, tracking gains on Wall Street after Federal Reserve Chairman Jerome Powell suggested the US central bank is ready to cut interest rates for the first time in a decade.

Hong Kong's Hang Seng jumped 1.2 per cent to 28,542.82 while the Shanghai Composite index added 0.5 per cent to 2,929.87.

In Japan, the Nikkei 225 index climbed 0.4 per cent to 21,609.08 while South Korea's Kospi advanced 1.3 per cent to 2,085.60.

Australia's S&P ASX 200 gained 0.2 per cent to 6,702.60. Shares also rose in Taiwan and Southeast Asia, reports AP.

On Wall Street, technology stocks drove much of the gains, nudging the Nasdaq composite to an all-time high.

The benchmark S&P 500 index briefly traded above 3,000 for the first time before pulling back to just below its most recent record high a week ago.

The S&P 500 index rose 0.5 per cent to 2,993.07. The index, which set three record highs last week, is now less than 0.1 per cent below its all-time high set last Wednesday.

The Dow Jones Industrial Average gained 0.3 per cent to 26,860.20, while the Nasdaq climbed 0.7 per cent to 8,202.53, a record. Its previous record high was also set last Wednesday.

The Russell 2000 index of smaller company stocks rebounded from a brief slide, gaining 0.2 per cent to 1,565.05.

Benchmark US crude oil picked up 21 cents to $60.64 per barrel in electronic trading on the New York Mercantile Exchange.

On Wednesday, it jumped $2.60 to settle at $60.43 a barrel, the highest level since late May.

Brent crude oil, the international standard, added 9 cents to $67.10 per barrel. Overnight, it gained $2.85 to close at $67.01 a barrel.

The dollar fell to 107.87 Japanese yen from 108.45 yen on Wednesday. The euro strengthened to $1.1280 from $1.1250.

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